Techno-economic analysis of Camelina-derived hydroprocessed renewable jet fuel within the US context

Abstract

This study explores the techno-economic analysis of producing Camelina-derived Hydroprocessed Renewable Jet (HRJ) fuel in Montana using the hydro-deoxygenation (HDO) pathway. The HDO method requires added hydrogen and increases cost. The estimated breakeven price of Camelina-derived HRJ fuel generated from the HDO reaction follows the UOP Honeywell procedure. Oilseed cultivation, lipid extraction, and HRJ fuel production were evaluated to estimate the HRJ fuel breakeven price. In an extraction facility with annual processing capacity of 3000 Mg, the breakeven price of Camelina oil was $0.35 per liter over a 20-year operating period and $0.34 per liter over a 30-year period. For a 20-year operating period, the deterministic breakeven price of HRJ fuel was $0.87 per liter with a commercial hydrogen and $1.01 per liter when the plant generated its own hydrogen supply; a 30-year operating period had $0.02 per liter savings. The sensitivity analysis indicates a breakeven price between $0.87 and $1.44 per liter in a facility with an on-site hydrogen plant, and between $0.75 and $1.26 per liter when purchasing hydrogen. An additional $0.02 per liter of capital investment cost is incurred to produce HRJ fuel instead of renewable diesel. Depending on the fuel product, investors would have a capital cost penalty of $0.13 to $0.15 per liter for producing hydrogen on-site.